NIO Inc (NYSE:NIO) is likely to post a wider first-quarter loss when it releases results ahead of the market open on Friday.
The Chinese electric-vehicle manufacturer is expected to report revenue of $1.69 for the quarter ending in March, up 8% from a year earlier and above the company’s own guidance for revenue of $1.58 billion to $1.67 billion.
While the consensus estimate is for its loss to widen by 22%, to $0.22 per share from $0.18 previously, as margins remain under pressure, Earnings Whisper has pencilled in a $0.26 per share loss.
The company has already told investors that it sold 31,041 EVs during the quarter, up 20.5% from the corresponding quarter a year earlier but at the lower end of its forecast for 31,000-33,000 EV deliveries.
The March quarter is seasonally weak for the company, which delivered 40,052 EVs in 4Q 2022.
In an interview in March, NIO chief financial officer Wei Feng told Bloomberg the company could double annual sales to 250,000 units and was confident about breaking even at the group level in 2024 due to strong revenue growth and tighter spending.
Contact the author at stephen.gunnion@proactiveinvestors.com